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Top Food Trends for 2016

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Top Food Trends for 2016 Food Export Association of the Midwest USA®/Food Export USA®-Northeast The Bi-Monthly newsletter for importers of U.S. Foods December/January 2016 Vol. 11 No. 6 TOP FOOD TRENDS FOR 2016: BOOST IN TECHNOLOGY, DELIVERY, PERSONALIZATION, MICRO STORES… emanding consumers and attentive retailers retailer or restaurant nearly invisible as they continue to offer are changing the food landscape as the battle choices from multiple outlets. For supermarkets to win back for the American meal heats up, according relationships with customers, Mr. Lempert says they must become to “Supermarket Guru” Phil Lempert’s Top a one-stop “eco-system” similar to Yelp’s Eat 24: offering reviews, Food Trends for 2016. Technology is keeping recipes, selection, ordering, ePayment, tracking and delivery. consumers more informed than ever before HAVE IT YOUR WAY and providing so many ways to secure food effortlessly. Retailers, Segmentation and personalization continue to grow in popularity. Darmed with massive amounts of tracking information, have new Shoppers want retailers to acknowledge and inspire them, not just opportunities to target evolving consumer preferences. However, occasionally but on every shopping trip and with every product. fierce competition appears to be heightening daily and knows no bounds. The Hartman Group predicts that by 2020 mid-market consumers will become more selective and continue to upgrade their culinary and healthy eating skills. This is not only for food seeking EIGHT MAJOR TRENDS FOR 2016: Millennials, or the top 1%, since personalization will become AGNOSTICISM pervasive. Personalization will advance from being a plus for some Consumers are becoming brand, retailer and daypart agnostic, to a must-have for all. according to Mr. Lempert. Amazon, says the Supermarket Guru, BIOREGIONS started it all as they own the customer experience and the brands Although “local” is an enormous trend in supermarket aisles, they offer have little or no relationship with the buyer. This trend it is an unsustainable trend as weather conditions and climate is worrisome for retailers as they lose their relationships with food change force changes to the sourcing of foods. Mr. Lempert says shoppers to brands like Instacart and Uber who are making the to think bioregions. With the realization that nature defines the (Continued on page 2) U.S. FOODLINK-December/January 2016 TOP FOOD TRENDS FOR 2016 Continued regions for what crops and livestock grow 2016 AT A GLANCE and thrive best in which climates, expect changes accordingly. A few thoughts to Mr. Lempert’s overall predictions include: More mobile. ponder: California farmers relocating to Georgia because of the cost of water, more More delivery. More artisan. More curated. More nutrition. wines originating from South Carolina, and More expensive. produce growers moving to Peru. Consumers are willing to pay a premium for locally produced food, according to a boast “free from” claims—free-from growth is that consumers of all age groups are recent study by A.T. Kearney. Nearly 80% hormones, free-from GMOs and free-from now willing to pay extra for the service. of respondents are willing to pay 10% more artificial ingredients. Currently, Amazon, Google, Instacart and for local products. Also, demand for local EVOLUTION OF THE MILLENNIAL GENERATION Uber are leading the delivery scene. More food is expanding beyond produce, meat than $500 million was invested in food This young demographic—with many and seafood as more consumers say it is an delivery start-ups in 2014. important attribute for prepared foods and gone from the nest, earning salaries and Meal delivery kits are hot! This dry groceries. starting families—buys very differently than other generations, explains Mr. Lempert. convenience, which omits time-consuming What is the ultimate in local? Growing For Millennials, dubbed spontaneous, trips to the supermarket, offers consumers lettuces, kale and herbs in your kitchen flexible, contradictory and adventurous, many specialized options to choose from, year-round without herbicides, suggests Mr. there is no difference to buying online or is portion controlled, eliminates food waste Lempert. The Urban Cultivator and Grove in a store. They make purchases 24 hours and can be prepared with limited cooking are coming to homes very soon, projects the a day. The majority (90%) prepares dinner skills. In 2016, look for celebrity chef Supermarket Guru. at home three or more times each week. offerings, some consolidation and one or MICRO-STORES Nearly three-fourths have the desire to two meal kit services advancing to Expect to see smaller, neighborhood cook better and turn to the internet for top players. grocers to pop up. These stores, such as recipes, photos and inspiration. With only Supermarkets will start to use driverless ALDI (with more than 1,400 locations 56% reporting they feel confident in the vehicles to deliver fresh, refrigerated, frozen in the U.S. and rising), Bfresh in Boston, kitchen, there is a great opportunity for and dry goods to homes. Customers will MA, and Green Zebra Grocery, Portland, grocery retailers to build relationships receive a text alert to show the vehicle OR, are touted more relaxed, attentive and with cooking classes, online videos and location and PIN code to open their curated, with a heavy focus on products information. A third of Millennial shoppers locker and retrieve their food. Tipping that Millennials crave and purchase. Lund’s take environmental concerns into account is eliminated. & Byerlys’ Kitchen with 17,000 square when making food and beverage purchases. Will drones enter the food delivery foray feet includes a 4,000-square-foot, sit-down More than 50% support brands and next? Google’s parent company Alphabet restaurant and numerous local beers on companies that aid their local community is planning to use drones to deliver tap. The grocerant trend will continue and 47% avoid buying from companies packages by 2017. The company is engaged to expand as more supermarkets seek to that have poor labor practices. Millennials in dialogue with the Federal Aviation capture additional food dollars. Adding shop in nine different food retailers over a Administration to establish a system that benefits draws attention and also supports three-month period, while Baby Boomers would enable air traffic control of drones retailers’ efforts to build relationships with shop in approximately six. For this unique flying below 500 feet, reported Time. customers. Micro-stores will shine and generation, it is all about collaboration, connection, community and conversation. dispel the common belief that retailers need TECHNOLOGY TO THE RESCUE to stock 50,000 SKUs to be successful, or Clearly, technology impacts every aspect that you have to serve everyone everything. of the retail food industry, from supply A NEW WAY OF EATING chain to point-of-sale systems to loyalty New kinds of proteins that are more and more. Having accurate and relevant sustainable and affordable than animal information on websites and apps is critical sources will be creating a buzz in 2016. for retailers as part of the process Algae, nuts, vegetables, yeast and even of securing and retaining customers. insects will be used as ingredients to boost As we head into the new year, it is protein content. Novel products with necessary to equip store level personnel healthier profiles will be coming to market. with information and technologies that For example, Thrive Algae Oil (a cooking can answer shoppers’ questions so they don’t and salad oil made from algae that has 75% have to search elsewhere. less saturated fat than olive oil and is high In the increasingly competitive food in monounsaturated fats) recently made industry, retailers should aim to create its debut. A DELIVERY SHIFT a unique food experience, offer tastings, The focus on “less is more” is strong. Food On demand everything is here! The cooking classes, seminars and other social makers will continue to roll out products booming trend of ordering any kind of gatherings. Events that draw consumers to with fewer and recognizable ingredients in food at any time and having it delivered the store for reasons other than a grocery response to consumer demands. Also, an almost instantaneously will grow larger. list contribute to making it the center of increasing number of products in 2016 will One significant change, cites Mr. Lempert, a community. 2 • U.S. FOODLINK WWW.FOODEXPORT.ORG DECEMBER/JANUARY 2016 U.S. FOODLINK-December/January 2016 Food Service Trends: WHAT’S ON THE MENU FOR 2016? “It’s turning into a new behavior Americans will be puckering their lips especially for young restaurant as the budding sour trend leaps into the goers who didn’t have a habit of limelight in the new year. More chefs and starting a meal with raw oysters grocery retailers will showcase novel food or going to an oyster bar after and beverage products with a sour flavor work as a happy hour activity,” profile, as consumers’ taste for sugar slips. explained Ms. Nielsen. It’s easy to Savory flavors will also be prominent, eat, you’re sharing, you can doctor along with salted yogurt, bottled sippable them up if you want or have them soups, contemporary porridge dishes, coffee clean. There’s a discovery process mocktails and more, according to Sterling- of trying out oysters from different Rice Group’s Top 10 Cutting-Edge Culinary places, which I think is very Trends for 2016. appealing to the informed diner.” While something new is always generating In Boston, MA, Creek Oyster . INTENSIFIED DESSERT excitement in the culinary world, frequently Bar’s menu features the names Pastry chefs, ice cream makers and it’s something that’s reinvented from of the oyster growers, harvesters confectioners are incorporating yesteryear, explained Kara Nielsen, SGR and fishermen behind the meals, savory ingredients in treats for a culinary director.
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